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"This offers building societies more flexibility in terms of their core tier 1 capital.
To outsiders, the switch in language from "tangible common equity" to "Tier 1 capital" signified nothing.
The comments on ringfencing and tier 1 capital are less of a surprise".
Today, however, the authorities use a measure called Tier 1 capital.
But its ten biggest borrowers account for a worrying four times its Tier 1 capital.
Tier 1 capital adequacy is a measure of a bank's cushion to withstand losses.
Similar(7)
8 1 CAPITAL CRIMES, by Stuart Woods.
"For every £1 we are making in rent, we are making another £1 capital gain".
But the bank's core Tier-1 capital ratio will fall to 8.8% as a result of the repayment.
The People's Republic now has three of the world's biggest banks by Tier-1 capital, up from one last year.
And the tier-1 capital ratio, a common measure of financial strength, was 14.5percentt as of Sept. 25, up from 13.8percentt in late June.
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